Kuala lumpur: The Rubber Production Incentive (IPG) for cuplump and latex has been activated in Peninsular Malaysia, Sabah, and Sarawak for December 2025, the Malaysian Rubber Board (MRB) announced. This initiative aims to support rubber smallholders amid fluctuating market prices and ensure sustainable production levels across the region.

According to BERNAMA News Agency, the MRB outlined the specific rates for the IPG in a recent statement. In Peninsular Malaysia, the cuplump IPG rate stands at five sen per kilogramme (kg) for 50 percent dry rubber content (DRC) and 10 sen per kg for 100 percent DRC. In Sabah, the rates are set at 35 sen per kg for 50 percent DRC and 70 sen per kg for 100 percent DRC, while Sarawak sees rates of 40 sen per kg for 50 percent DRC and 80 sen per kg for 100 percent DRC. Additionally, the latex IPG rate for all three regions is established at 90 sen per kg for 100 percent DRC.

The IPG mechanism is triggered when the average monthly farmgate price for cuplump rubber is RM3.00 per kg or below, which also activates the IPG for latex. In December 2025, the average farmgate prices per kg for cuplump were recorded as RM2.95 in Peninsular Malaysia, RM2.65 in Sabah, and RM2.60 in Sarawak.

Eligible Malaysian rubber smallholders will receive the IPG payments, with the distribution scheduled between January 1 and January 31, 2026, based on their rubber production in December 2025. This timely activation of the incentive underscores MRB's commitment to stabilizing the rubber industry and supporting smallholders during challenging market periods.